We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Ares Capital (ARCC) Registers a Bigger Fall Than the Market: Important Facts to Note
Read MoreHide Full Article
Ares Capital (ARCC - Free Report) closed the most recent trading day at $20.31, moving -2.59% from the previous trading session. The stock's performance was behind the S&P 500's daily loss of 0.16%. Meanwhile, the Dow lost 0.09%, and the Nasdaq, a tech-heavy index, lost 0.59%.
The private equity firm's stock has climbed by 3.17% in the past month, exceeding the Finance sector's gain of 1.44% and the S&P 500's loss of 0.21%.
The investment community will be paying close attention to the earnings performance of Ares Capital in its upcoming release. The company is forecasted to report an EPS of $0.5, showcasing a 9.09% downward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $795.35 million, indicating a 4.79% increase compared to the same quarter of the previous year.
ARCC's full-year Zacks Consensus Estimates are calling for earnings of $2 per share and revenue of $3.06 billion. These results would represent year-over-year changes of -14.16% and +2.25%, respectively.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Ares Capital. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.17% lower. Ares Capital presently features a Zacks Rank of #3 (Hold).
In terms of valuation, Ares Capital is presently being traded at a Forward P/E ratio of 10.43. For comparison, its industry has an average Forward P/E of 8.55, which means Ares Capital is trading at a premium to the group.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. This group has a Zacks Industry Rank of 148, putting it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Ares Capital (ARCC) Registers a Bigger Fall Than the Market: Important Facts to Note
Ares Capital (ARCC - Free Report) closed the most recent trading day at $20.31, moving -2.59% from the previous trading session. The stock's performance was behind the S&P 500's daily loss of 0.16%. Meanwhile, the Dow lost 0.09%, and the Nasdaq, a tech-heavy index, lost 0.59%.
The private equity firm's stock has climbed by 3.17% in the past month, exceeding the Finance sector's gain of 1.44% and the S&P 500's loss of 0.21%.
The investment community will be paying close attention to the earnings performance of Ares Capital in its upcoming release. The company is forecasted to report an EPS of $0.5, showcasing a 9.09% downward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $795.35 million, indicating a 4.79% increase compared to the same quarter of the previous year.
ARCC's full-year Zacks Consensus Estimates are calling for earnings of $2 per share and revenue of $3.06 billion. These results would represent year-over-year changes of -14.16% and +2.25%, respectively.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Ares Capital. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.17% lower. Ares Capital presently features a Zacks Rank of #3 (Hold).
In terms of valuation, Ares Capital is presently being traded at a Forward P/E ratio of 10.43. For comparison, its industry has an average Forward P/E of 8.55, which means Ares Capital is trading at a premium to the group.
The Financial - SBIC & Commercial Industry industry is part of the Finance sector. This group has a Zacks Industry Rank of 148, putting it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.